Laws, Regulations & Annotations

Property Taxes Law Guide – Revision 2011

Other Code Provisions

Health and Safety Code

DIVISION 24. COMMUNITY REDEVELOPMENT AND HOUSING

PART 1. COMMUNITY REDEVELOPMENT LAW

Chapter 6. Financial Provisions

Article 6. Taxation*

Section 33676

33676. Election to receive taxes allocable. (a) Prior to the adoption by the legislative body of a redevelopment plan providing for tax increment financing pursuant to Section 33670, any affected taxing agency may elect to be allocated, and every school district and community college district shall be allocated, in addition to the portion of taxes allocated to the affected taxing agency pursuant to subdivision (a) of Section 33670, all or any portion of the tax revenues allocated to the agency pursuant to subdivision (b) of Section 33670 attributable to one or more of the following:

(1) Increases in the rate of tax imposed for the benefit of the taxing agency which levy occurs after the tax year in which the ordinance adopting the redevelopment plan becomes effective.

(2) If an agency pursuant to Section 33354.5 amends a redevelopment plan that does not utilize tax increment financing and pursuant to subdivision (a) of Section 33670 uses the assessment roll last equalized prior to the effective date of the ordinance originally adopting the redevelopment plan, an affected taxing agency may elect to be allocated all or any portion of the tax revenues allocated to the agency pursuant to subdivision (b) of Section 33670 that the affected taxing agency would receive if the agency were to use the assessment roll last equalized prior to the effective date of the ordinance amending the redevelopment plan to add tax increment financing.

(b) (1) Any local education agency that is a basic aid district or office at the time the ordinance adopting a redevelopment plan is adopted and that receives no state funding, other than that provided pursuant to Section 6 of Article IX of the California Constitution, pursuant to Section 2558, 42238, or 84751, as appropriate, of the Education Code, shall receive annually its percentage share of the property taxes from the project area allocated among all of the affected taxing entities during the fiscal year the funds are allocated, increased by an amount equal to the lesser of the following:

(A) The percentage growth in assessed value that occurs throughout the district, excluding the portion of the district within the redevelopment project area.

(B) Eighty percent of the growth in assessed value that occurs within the portion of the district within the redevelopment project area.

(2) Subparagraphs (A) and (B) of paragraph (1) shall not apply to a redevelopment plan adopted by the legislative body of a community if both of the following occur:

(A) The median household income in the community in which the redevelopment project area is located is less than 80 percent of the median household income in the county in which the redevelopment project area is located.

(B) The preliminary plan for the redevelopment plan was adopted on or before September 1, 1993, and the redevelopment plan was adopted on or before August 1, 1994.

(3) Any local education agency that is a basic aid district or office at the time the ordinance amending a redevelopment plan is adopted pursuant to Section 33607.7 and that receives no state funding, other than that provided pursuant to Section 6 of Article IX of the California Constitution, pursuant to Section 2558, 42238, or 84751, as appropriate, of the Education Code, shall receive either of the following:

(A) If an agreement exists that requires payments to the basic aid district, the amount required to be paid by an agreement between the agency and the basic aid district entered into prior to January 1, 1994.

(B) If an agreement requiring those payments does not exist, the percentage share of the increase in property taxes from the project area allocated among all of the affected taxing entities during the fiscal year the funds in the project area are allocated, derived from 80 percent of the growth in assessed value that occurs within the portion of the district within the redevelopment project area from the year in which the amendment takes effect pursuant to subdivision (c) of Section 33607.7.

(4) The redevelopment agency shall subtract from any payments made pursuant to this section the amount that a basic aid district receives pursuant to Sections 33607.5 and 33607.7 for the purposes of either paragraph (1) of subdivision (h) of Section 42238 of the Education Code or either Section 2558 or 84751 of the Education Code.

(c) The governing body of any affected taxing agency, other than a school district and a community college district, electing to receive allocation of taxes pursuant to this section in addition to taxes allocated to it pursuant to subdivision (a) of Section 33670 shall adopt a resolution to that effect and transmit the same, prior to the adoption of the redevelopment plan, to (1) the legislative body, (2) the agency, and (3) the official or officials performing the functions of levying and collecting taxes for the affected taxing agency. Upon receipt by the official or officials of the resolution, allocation of taxes pursuant to this section to the affected taxing agency that has elected to receive the allocation pursuant to this section by the adoption of the resolution and allocation of taxes pursuant to this section to every school district and community college district shall be made at the time or times allocations are made pursuant to subdivision (a) of Section 33670.

(d) An affected taxing agency, at any time after the adoption of the resolution, may elect not to receive all or any portion of the additional allocation of taxes pursuant to this section by rescinding the resolution or by amending the same, as the case may be, and giving notice thereof to the legislative body, the agency, and the official or officials performing the functions of levying and collecting taxes for the affected taxing agency. After receipt of a notice by the official or officials that an affected taxing agency has elected not to receive all or a portion of the additional allocation of taxes by rescission or amendment of the resolution, any allocation of taxes to the affected taxing agency required to be made pursuant to this section shall not thereafter be made but shall be allocated to the agency and the affected taxing agency shall thereafter be allocated only the portion of taxes provided for in subdivision (a) of Section 33670. After receipt of a notice by the official or officials that an affected taxing agency has elected to receive additional tax revenues attributable to only a portion of the increases in the rate of tax, only that portion of the tax revenues shall thereafter be allocated to the affected taxing agency in addition to the portion of taxes allocated pursuant to subdivision (a) of Section 33670, and the remaining portion thereof shall be allocated to the agency.

(e) As used in this section, "affected taxing agency" means and includes every public agency for the benefit of which a tax is levied upon property in the project area, whether levied by the public agency or on its behalf by another public agency.

(f) This section applies only to redevelopment projects for which a final redevelopment plan is adopted pursuant to Article 5 (commencing with Section 33360) of Chapter 4 on or after January 1, 1977.

History.—Added by Stats. 1976, Ch. 1162, p. 5241, in effect January 1, 1977. Stats. 1977, Ch. 579, in effect January 1, 1978 added "of this part" to subdivision (e). Also renumbered from "33675" to "33676". Stats. 1984, Ch. 147, in effect January 1, 1985, substituted "and unless an agreement . . . college district shall elect" for "any affected taxing agency may elect", added "one or both . . . following:" after "33670 attributable to", added "(1)" before "increases", and added subsection (2) to subdivision (a); deleted "of this part" after "Chapter 4" in subdivision (e); and made nonsubstantive changes throughout the section. Stats. 1990, Ch. 1368, in effect September 27, 1990, substituted "more" for "both" after "one or" in subdivision (a); and added subsection (3) to subdivision (a). Stats. 1993, Ch. 942, in effect January 1, 1994, deleted "and unless an agreement is entered into or payments are otherwise distributed by the agency in accordance with Section 33401," after "to Section 33670", added "to be allocated" after "agency may elect", added "district" after "school", and deleted "elect, to" after "district shall" in subdivision (a); deleted former subparagraph (a)(2) which stated "Increases in the assessed value of the taxable property in the redevelopment project area, as the assessed value is established by the assessment roll last equalized prior to the effective date of the ordinance adopting the redevelopment plan pursuant to subdivision (a) of Section 33670, which are, or otherwise would be, calculated annually pursuant to subdivision (f) of Section 110.1 of the Revenue and Taxation Code."; renumbered former subparagraph (a)(3) as (a)(2); added subdivision (b); relettered former subdivisions (b), (c), (d), and (e) as (c), (d), (e), and (f), respectively; and added ", other than a school district and a community college district," after "taxing agency" in the first sentence, and added "and allocation of taxes pursuant to this section to every school district and community college district" after "adoption of the resolution" in the second sentence of subdivision (c). Stats. 1994, Ch. 936, in effect January 1, 1995, substituted "84751" for "84750" after "2558, 42238, or" in subdivision (b)(3); deleted "of" after "area allocated among" in subdivision (b)(3)(B); substituted "Sections 33607.5 and 33607.7" for "Section 33607.5" after "receives pursuant to", and substituted "either Section 2558 or Section 84751" for "Section 84750" after "Education Code or" in subdivision (b)(4). Stats. 1994, Ch. 146, in effect January 1, 1995, substituted "that" for "which" twice and deleted "to add tax increment financing" after "increment financing" in paragraph (2) of subdivision (a); added "requiring those payments" after "If an agreement" in paragraph (3)(B) of subdivision (b); substituted "that" for ‘'which" after "taxing agency" in subdivision (c); substituted "applied" for "shall apply" in subdivision (f). Stats. 1996, Ch. 799, in effect January 1, 1997, substituted "tax increment" for "tax-increment" after "plan providing for" in subdivision (a); substituted "84751" for "84750" before ", as appropriate," in paragraph (1) and substituted "Section 2558 or 84751" for "Section 2558 or Section 84751" after "Education Code or either" in paragraph (4) of subdivision (b).

Note.—Section 17 of Stats. 1984, Ch. 147, provided no payment by state to local governments because of this act, however, a local agency or school district may pursue any remedies to obtain reimbursement.

Construction.—A school district's action to require payment of a portion of tax revenues pursuant to this section was properly decided in the district's favor, even though the then operative version of the section required the district to elect, prior to the adoption of the redevelopment plan at issue, to be allocated the revenues, and the district did not make such an election until afterward. The legislative history indicated that the Legislature intended that the payment of the funds be mandatory. Santa Ana Unified School District v. Orange County Development Agency, 90 Cal.App.4th 404.

* Repealed and added by Stats. 1963, p. 3677, in effect September 20, 1963. Had the effect of renumbering the article and sections and repealed former Section 33954 relating to the operative date of the former article.

Do you have feedback about the BOE website?

Share it with us in the text boxes below!
Please keep in mind that you will not receive a response upon sharing your feedback with us.

If you need help with tax questions, online services, or payment please call the BOE Customer Service Center at 1-800-400-7115.

For your security, please do not include any private information such as social security numbers or contact information when submitting this form.
Thank you for helping us improve the California taxpayers' experience on boe.ca.gov.

Were you able to easily find the information you were seeking?

What changes would you make to this page to improve the user's experience?